(CNBC) A new market high: First ETF to target marijuana stocks
The Trump administration is considering renegotiating aged trade agreements with North American neighbors, such as Canada. Canada’s new trade is a first type exchange-trade that puts them ahead of the United States. It invests in medicinal marijuana stocks — this is still a very touchy subject as it will stir up debates from people for and against medicinal marijuana, and whether they’d want to invest in it. For those who are willing to invest in these types of stocks the HMMJ is offering a way to invest in their stocks where you do not have to take company risks. These stocks could potentially better the economy in the United States, as it is expected to do for Canada. In the United States, marijuana sales were expected to top $6.7 billion in 2016, up 25 percent per year. Globally, it’s estimated that $150 billion is spent illegally on marijuana each year, and as more countries legalize weed, the better these stocks will do. And Canada’s stock investor Alan Brochstein believes it will do better.
Investment, in this case is the purchase of stocks that are used in the future to create wealth. Economic growth is how much more the economy produces than it did before. If the economy is producing more, businesses are more profitable, and stock prices rise. If more people were to invest in medicinal marijuana stocks, then this would help the economy grow.
Investing in these stocks is similar to investing in health-related stocks. Medicinal marijuana has proven to help many people with illnesses; it helps them eat, and feel less pain. Also, I see the potential in it helping our economy overall. Given that $150 billion dollars is spent globally on marijuana each day, if this money were to also be put into stocks, our economy has an enormous chance of prospering, whereas right now it is heading toward a recession.